The bulker fleet is experiencing a decline in average speed, primarily due to an aging fleet and regulations promoting slower speeds for better carbon efficiency, reports MarineLink.
Global bulker fleet is facing a significant slowdown
A report by Veson Nautical highlights that older vessels, particularly those built before the 2013 Energy Efficiency Design Index (EEDI) regulations, are slowing down significantly, creating a noticeable gap between them and newer, more efficient ships. The average age of the bulker fleet has increased from 8 years in 2018 to nearly 12 years today, exacerbating this issue.
This trend is creating a two-tier market, where newer vessels are commanding higher rates, especially in regions with strict carbon regulations. Older vessels are being relegated to niche markets with lower priority cargoes. The tightening emissions regulations are likely to further push aging vessels out of competitive routes, reinforcing the dominance of modern, efficient vessels in more profitable markets.
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Source: MarineLink
